Crypto Prices Dip But is New Dogecoin, Shiba Inu Challenger CatSlap Poised for a Breakout?

The crypto market is cooling off today as Bitcoin struggles to hold above $92K. This has led to a decline in the prices of leading meme coins Dogecoin and Shiba Inu. However, a new entrant called CatSlap is breaking out and seeing a surge in buy-side activity.

DOGE Drags Market Down on BTC Pullback

Dogecoin has been the leader of the meme coin sector, but today it is dragging down the entire market. Bitcoin dipped below $92K on Tuesday, which sent shockwaves through the altcoin market.

Dogecoin is the worst-hit among the top 10 cryptocurrencies, falling by 4.2% today. This means that over $2 billion has been wiped off its market cap in the last 24 hours. This puts it back to break even week-on-week, which is disappointing because it looked on course for a new all-time high (ATH) before the dip started on Saturday.

Other meme coins are also tumbling. Shiba Inu has plunged 2.8% in the last 24 hours, while Pepe is down 5.3% and Bonk is down 4.8%. Dogwifhat has experienced the worst losses, with a 9.6% drop today.

This sell-off is happening as Bitcoin's price sends jitters through the market. After peaking at highs of $99.6K on 22 November, it has fallen back to $92.5K. While this is still a strong price, well above its previous ATH, traders are derisking from their altcoin positions to brace for further retracement.

Meme Coin Season Will Resume Soon

Despite the sell-off, analysts say there is nothing to worry about. Tesla Model Doge says that the "real" Dogecoin rally has yet to even begin. The analyst notes that DOGE is trading inside a rising channel, which will be followed by a break to the upside and a surge toward $1.

Meanwhile, Kate the Alt observes that retail traders are pouring into DOGE. This is a good sign, underlining that meme coins continue to be a coveted asset class among retail investors.

Based on its price chart and retail interest, DOGE looks primed for further growth after this current cooling-off period. And just as it has led the meme coin market's recent booms and busts, we'll likely see the same next time, too.

CatSlap Is Already Breaking Out

Even as the market finds its feet, viral meme coin CatSlap is showing dominance by breaking a huge descending wedge chart pattern. This is a significantly bullish pattern, and its break to the upside suggests that its bullish rally could start now, even while other meme coins struggle.

CatSlap is an Ethereum-based cat-themed meme coin that offers a gamified experience through 'CatSlap Slapometer.' Users track their scores and compete against global competition. However, there are also rumors that CatSlap will expand into a full-swing Play-to-Earn game, separating it from any other cat coin on the market.

Moreover, the project has a staking mechanism, allowing users to lock up their $SLAP to earn rewards. Right now, staking offers an impressive 40% APY.

The cat-themed meta is on the rise. While dog-themed cryptos are worth $85 billion, the cat-themed market is worth just $5 billion. It's clear which has more room for growth, and CatSlap is doing a lot of things that no other cat-themed crypto is doing. Therefore, analysts like Michael Wrubel are saying $SLAP could 50x.

A 50x gain seems ambitious, but CatSlap's market cap is just $22 million. Such gains would place it on par with current market leader Popcat, which is certainly possible in a bull market. Investors can buy CatSlap via the DEX on its website or using the Best Wallet app via its Upcoming Tokens feature.